Prosecutors plan to press charges against a former president of
The prosecutors allege the 57-year-old illegally advised a male acquaintance to purchase Don Quijote shares prior to the announcement of a takeover bid for the company by
The former president, whose name has not yet been revealed, has denied the allegation, they said.
Don Quijote shares jumped from the
The acquaintance traded stocks prior to the statement and is believed to have gained hefty profits from the tip-off, according to the sources.
The prosecutors were investigating the case in partnership with the
In a revision to the financial instruments law in 2014, the government banned company executives from leaking information about business deals prior to the formal announcement, as well as advising others to trade stocks.
Upon reports in November that prosecutors questioned the former president,
==Kyodo
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